Simple_5ive on Nostr: Imagine we lock up all the ocean water into a GIANT container, do you think the ...

Imagine we lock up all the ocean water into a GIANT container, do you think the waves/volatility goes away overtime?

Apply that into ₿itcoin treasury companies. Locking up massive amount of ₿, just like water in a container, long enough time, volatility will decrease, cashflow from trades will be less than payout yield.

Consequently, ₿itcoin treasury companies have to sell some of their btc in order to allow the volatility to pick back up again (release water from the container back out to the nature) to be profitable again.

Ocean water needs to be in the nature under the sun in order to become habitats. Same with ₿itcoin, ₿ needs to be in the open market for buying and selling, spending/receiving in order to stay alive (volatility).

₿itcoin cannot be a store of value UNLESS it is a medium of exchange.